Thursday, March 7, 2019
Foreign market analysis
The purpose of this report is to design and find a marketing plan for Bursars in order to internationalist their profession operations by penetrating the Egyptian market. As with the expansion of any(prenominal) stemma, Bursars would face many ch eitherenges In exporting inwrought flatulence to Egyptian ho exerciseholds which Is their primary target market. In order to ensure a placid entrance to the line environment of Egypt, Bursars would have to adopt a regularize product strategy because of the universal nature and application of natural gas.Secondly normalisation would also benefit the company because the resulting economies of scale would reduce be and the nest egg gouge be reinvested Into the companys promotional strategies. Anformer(a) personal manner for Bursars to reduce their costs Is by using the existing distribution network of natural gas established in Egypt. The company positions Itself In such a way to take advantage of the increased demand for natural gas because of lift consumption in Egyptian households.The pricing strategy that best suits Bursars is secernate pricing, which would effectively hedge risks associated with global shocks to the gas arrest and various other political tensions. Given the marketing plan suited for Bursars, the three category sales and expenses suggest that venturing into Egypt would be profitable for Bursars as well as for Egypt in toll of meeting their energy requirements. 2. 0 Description of station market 2. Political environment Foreign companies have enjoyed the benefits in terms of incentives that the government provides such as the rights to own lands, equipment and capital in Egypt for business operations and the right to export from Egypt without licensing (Hosannas, 2010). The volatile political environment in Egypt may be a barrier to entry for Bursars but phone marketing strategies may be able to overcome these Issues. 2. 2 economical Environment Egypt has a fault of $262. Billion and GAP per capita of $6700 the size of GAP per capita suggests that the use of alternative enkindle for domestic purposes may be favored In such an economic environment. Egypt has foreign exchange reserves of $1. 7 billion (World Bank, 2014) as of 2014 and stable exchange rates means that any remittances and earnings sent back to Turkey would not be supersensitised to many allocations. 2. 3 Cultural Environment conducting business operations. This shared grow and value may actually help Bursars to settle within the business environment of Egypt.The use of natural gas as an alternate fuel which is CEO- friendly may actually be favored in a collectivist society such as Egypt. This would aid Bursars for promotional purposes swell. 3. 0 Segmentation, Targeting and Positioning 3. 1 Segmentation The gas sector in Egypt can be segmented into geographic, demographic, cryptographic and behavioral segmentation 3. 1. 1 geographic Segmentation To reach customers on a broader level, Bursar s has to locate its stations on places where it will be available too large amount of handicraft and a large number of residential households.Most mass live in the capital, Cairo, the 16th biggest city in the world, where the population 9120000 people (Cairo Population 2013). 3. 1. 2 Demographic Segmentation The prices will be the same for all those who use them (households) although price discrimination exists within Egypt which will be elaborated by and by in the report. For residential purposes like cooking and heating people from all social classes will be sing the product, whereas for usage by vehicles, people in the lower and middle class families will be using the product.The upper class can easily afford to use gasolene in their vehicles. Since the country has almost run out of its own supplies of natural gas, the country has no other option but to import. 3. 1. 3 cryptographic Segmentation The advantages of using natural gas for household are that it is environmentally friendly and sound than that of other energy resources. Therefore the reviews should be goodly by the environmental protection agencies (Peas) which would aid in the promotional strategies as well.